1. Field of the Invention
The present invention relates to an electronic management system for trade and logistics including complex pre-shipment inspection of recycling scraps and other commodities and, more particularly, to a computer system and method for guided-compilation and automated assemblage of a photographic loading report using a handheld computer device. By the use of a handheld computer device and/or web based portal the present invention also enables users to send out rate requests and facilitates bids by logistics service providers.
2. Description of the Background
Scrap recycling is a $90 billion industry in the United States that annually transforms more than 135 million metric tons of obsolete materials from consumers, businesses, and manufacturers into useful raw materials that are essential to the manufacturing of new products. The scrap recycling industry is global, and there is an established global supply chain for commodities ranging from iron and steel to paper; nonferrous metals such as aluminum, copper, and zinc; plastics; electronics; rubber; and more. Figures from the U.S. Census Bureau and the U.S. International Trade Commission show that in 2013, the United States exported 42.8 million metric tons of commodity grade scrap to 160 destinations worldwide for the manufacture of new products. These activities generated $24 billion in export sales and significantly helped the U.S. trade balance. In fact, in terms of volume, scrap materials are among the nation's largest commodity exports. [From ITC Trade DataWebsite]
Such cargo can not be exported from a country or imported into another without customs control. Documents need to be processed through the official customs offices, and spot-checks of the goods are sometimes carried out to assess the conformity of the cargo with the description given on the documents. In addition, pre-shipment inspections (PSI) are required when mandated by the government of the importing country. Governments assert that pre-shipment inspections ensure that the price charged by the exporter reflects the true value of the goods, prevent substandard goods from entering their country, and mitigate attempts to avoid the payment of customs duties.
There are several independent, third party inspection and certification organizations devoted to pre-shipment certifications and inspections. For example, the largest scrap importer by far is China, and the China Certification and Inspection Group Company (CCIC) is accredited by the People's Republic of China to perform all pre-shipment inspections. Indeed, CCIC has been operating since 1980 and has grown and become the dominant worldwide pre-shipment certification and inspection authority for scrap exports. If you plan on exporting recyclables to China or most other countries, your cargo must first pass their pre-shipment inspections to ensure that the cargo you ship abides by environmental laws and regulations of the importing country. The importer is generally responsible for arranging the pre-shipment inspection, but the exporter must make the goods available for inspection in the country of origin and provide the inspecting authority with a photographic pre-shipment ‘Self Inspection Report’, which is sent to the inspecting authority.
Each CCIC applicant must provide a Self-inspection Report to CCIC. The self-inspection inspection report includes an array of loading photos taken to specification. The Applicant submits the Self-inspection Report to CCIC electronically, and CCIC sends back a draft inspection certificate.
On the basis of the inspection certificate, the inspection is performed, and if no discrepancies are noted and all final documents are received from the importer and exporter, a “Clean Report of Findings” is issued confirming the shipment's value, customs classification, and clearance. The goods may then be shipped to the importing country, and the importer uses the inspection report to get the imported goods released from customs.
Unfortunately the self-inspection report must comply with very specific requirements. All loading photos must be unprocessed original photos with a resolution no smaller than 640×480; they must be in color and provide a clear view of the loaded material and its state. Blurry photos that fail to display the material clearly will not be accepted. Multiple loading photos should be submitted for every container showing it empty, 25% full, 50% full, 75% full, 100% full, both doors shut, left door shut, right door shut, and sealed. If the material is packed in bags or boxes, photos showing material inside the bags or boxes should be provided. The pre-loading photos are an absolute necessity.
CCIC often rejects applications and/or withholds certificates in the event of inadequate or substandard photos, and the delay can result in significant financial or other losses.
What is needed is an automated system and method for managing an inventory of cargo containers through the loading and pre-shipment inspection process, including compiling and assembling a photographic pre-shipment inspection report to detailed standards using a handheld computer device. This would be especially helpful to scrap commodity brokers who at time of loading must take correct loading photos, and currently use digital cameras. There is a tremendous amount of wasted time involved in managing an inventory of cargo containers, including through the loading and pre-shipment inspection process, inclusive of manually using a digital camera, then having to upload the photos, send them out, then repeat the process if the photos are non-conforming.